Interior Minister Thomas de Maiziere said this week Germany had increased information-sharing between federal and state officials and taken other steps to increase security after a series of missteps in the Berlin case.

An Ministry spokesman said this week the risk of an attack in Europe and Germany is "continuously high".

A verified police Twitter account, Police Brandenburg_E, said the "IED suspicion has been confirmed" and said an evacuation was under way where the discovery was made.

The post read: "The USBV suspicion has been confirmed. The affected area in the city center of Potsdam must be cleared! Please note our loudspeaker announcements!"

Crowds were cleared from the market this afternoonArmed police stand guard near where the bomb was found.

According to reports, the package, which measures 40x50cm, was handed in to a pharmacy, where staff noticed "suspicious wires and technology" inside it.

Police were called at 2.30pm local time and responded by shutting the market while surrounding shops and restaurants were also cleared, Potsdamer Neueste Nachrichten reported.

The object was examined by specialist bomb disposal officers.

A security perimeter has been set up near the Christmas market in Potsdam.

Police confirmed a bomb had been discovere

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Title : Explosive device filled with hundreds of nails close to Christmas market could be 'one of many'Description : A bomb filled with hundreds of nails discovered close to a Christmas market may not have been the only explosive, investigators have said. A...Rating : 5

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